Comments on: Mantras http://doohan.org/blog/2010/03/01/mantras/ The answer to 'too much debt' cannot be 'more debt'. Thu, 17 Mar 2011 22:50:19 +0000 hourly 1 http://wordpress.org/?v=3.0.4 By: admin http://doohan.org/blog/2010/03/01/mantras/comment-page-1/#comment-52 admin Mon, 01 Mar 2010 20:58:25 +0000 http://doohan.org/blog/?p=449#comment-52 The principal intention of NAMA was to pay a significantly above 'Current Market Value' premium for the loans (although, also significantly below 'face value'). By refusing to allow the originally suggested Government premium and mandating a lower premium, the Commission has gone a long way towards reducing amount that will be squandered on NAMA. This, sadly, has the corollary of forcing the Goverments hand on recapitalisation. However, at least here there will some ownership for the taxpayer and the opportunity for some transparency. The Commission, in a related ruling, has also stopped the banks from paying dividends and coupons so that taxpayers monies shall not be paid out to private persons while the banks are hiding behind the 'Guarantee'. The principal intention of NAMA was to pay a significantly above ‘Current Market Value’ premium for the loans (although, also significantly below ‘face value’). By refusing to allow the originally suggested Government premium and mandating a lower premium, the Commission has gone a long way towards reducing amount that will be squandered on NAMA.

This, sadly, has the corollary of forcing the Goverments hand on recapitalisation. However, at least here there will some ownership for the taxpayer and the opportunity for some transparency.

The Commission, in a related ruling, has also stopped the banks from paying dividends and coupons so that taxpayers monies shall not be paid out to private persons while the banks are hiding behind the ‘Guarantee’.

]]> By: BigTimGreen http://doohan.org/blog/2010/03/01/mantras/comment-page-1/#comment-51 BigTimGreen Mon, 01 Mar 2010 20:12:21 +0000 http://doohan.org/blog/?p=449#comment-51 Arthur, you say "The NAMA vehicle has been gutted by the EU Commission so that the taxpayers cannot be excessively ripped off by their rulers. For this alone, I and a whole generation of Irish persons will be eternally grateful to the EU." Could you explain this in more detail please? Specifically, what have the EU done here? Thanks, and keep up the good work. Arthur, you say “The NAMA vehicle has been gutted by the EU Commission so that the taxpayers cannot be excessively ripped off by their rulers. For this alone, I and a whole generation of Irish persons will be eternally grateful to the EU.”

Could you explain this in more detail please? Specifically, what have the EU done here?

Thanks, and keep up the good work.

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